Mining giant Rio Tinto's divestment programme to cover its massive debt has hit 10 billion US dollars after completing the sale of its Alcan Packaging Food Americas division, the company said Tuesday.
The 1.2 billion US dollar sale to America's Bemis Company takes Rio's total divestments to 10.3 billion US dollars since 2008. The company also completed a huge 15.2 billion US dollars rights issue last year.
"Our balance sheet has been transformed in the past 12 months on the back of the divestment programme, the rights issues and continued strong operating cash flows," chief financial officer Guy Elliott said in a statement.
"The recapitalisation leaves Rio Tinto well placed to consider value adding investment opportunities as they emerge."
On Monday, Rio said it was buying 15 million new shares in Canada's Ivanhoe Mines as they progress their Oyu Tolgoi copper-and-gold joint venture in Mongolia.
Rio sank deep into the red after acquiring Canada's Alcan aluminium group in 2007, but later snubbed a 19.5 billion US dollar cash injection from China's Chinalco in favour of the rights issue and an iron ore joint venture with BHP Billiton.
